Abu Dhabi apartment prices rose 24% in the third quarter from a year earlier, while villa prices increased 10.2%, property consultancy ValuStrat said in its third-quarter review.
Overall residential values in the emirate rose 16.8% year on year in the quarter, The National reported, citing the report.
Al Reef led gains, with apartment prices up 36.6% and villa values up 26.8%. Apartments in Al Bandar rose 24.7%, Al Muneera Island 24.4% and Al Reem Island 22%.
Among villa areas, Saadiyat Island followed Al Reef with growth of 9.9%, and Hydra Village gained 2.9%.
“Residential appreciation gained pace, led by apartments, while sustained business activity and limited availability of quality office space continued to support commercial performance,” said Haider Tuaima, managing director and head of real estate research at ValuStrat.
Rents and supply
Apartment rents rose 1.5% year on year to an average of AED121,500 a year. Villa rents increased 1.8% to an average of AED258,000.
Rents were stable from the previous quarter. Abu Dhabi introduced a temporary rent freeze on residential, commercial and industrial properties from June 2, replacing a 5% cap on annual increases.
About 13,534 new homes are expected to be added in Abu Dhabi this year, of which 3,508 were completed in the first nine months. A further 40,510 homes are scheduled for delivery by 2030, ValuStrat said.
